The truth: Your new standard of care in financial services, Pt. 4
By Steven McCarty
The National Ethics Association
Welcome to the end of our series on the new truth standard in financial services. In prior columns, we discussed the importance of:
- Never misprespresenting a competing advisor, product, or company.
- Never fearmongering during the sales process, especially about government benefits.
- Advisors fabricate or exaggerate their credentials. They claim to have earned credentials they don’t have or overplay the flimsy ones they do have. Or, they claim to be able to sell a certain product or service without really having the required experience.
Result: They leave themselves in the tenuous position of not being able to deliver on their promises. And when they fail to deliver, they lose sales to their competitors and lose the prospect’s trust.
- They mask their true selves by mirroring prospects during the sales process. For example, if a prospect espouses a political belief, the mirroring agent pretends to agree, even though he may hold the opposite opinion. The same holds true for a prospect’s social values, hobbies, etc.
Result: Prospects sense you aren’t authentic — that you don’t really believe what you say you believe and that there’s no “you” behind the mask.
Want to remain sand free? Be totally transparent about your professional background and training and communicate your authentic self at all times. Here are some pointers:
1. If tempted to inflate your credentials, remind yourself that today’s empowered consumer can ferret out incredible amounts
of information about you. In fact, a computer-literate senior can smoke out falsehoods in about 15 minutes on the Internet. Don’t give them that opportunity!
2. Be authentic at all times. Don’t feel obligated to agree with everything a prospect says. Show your true personality and share honest opinions (within appropriate boundaries, of course).
3. Finally, appoint a Chief Truth Officer (CTO) for your business. This might be your assistant, a colleague, or even you. Role? To review all client-facing statements in documents or presentations to assure a 100 percent truth standard in every public statement or interaction. This function would take place before content is submitted to broker-dealers, carriers and regulatory bodies.
In short, forget about exaggerations, lies and mirroring. You’ll be amazed at how easily you can outmuscle your competitors by just being 100 percent committed to the truth.